Salesforce.com has been living and thriving in the cloud for years. The San Francisco-based company already has a fancy office at One Market Plaza and it is now using its billions to build a colorful campus near AT&T Park.

Oracle Rockopolis Invades Treasure Island

Ellison is trying to move his company into Benioff's neighborhood. And he has apparently decided it is cheaper for him to acquire companies, such as RightNow and Taleo, to get Oracle into the cloud than to build his own technology.

The Oracle CEO famously had a very public feud with Benioff last October when he booted the Salesforce CEO as a keynote speaker at Oracle's OpenWorld show.

Benioff, who once worked for Ellison, had been criticizing Ellison and Oracle for offering customers false cloud computing.